ANTIGO, Wis.–CoVantage Credit Union said it has returned a record $5 million in patronage dividends into the accounts of its members. It marks the largest patronage payment in the history of the $2.6-billion CoVantage CU, and an $800,000 increase over what was provided to borrowers and savers the year before, the CU said.
“CoVantage is one of a few credit unions in the country that continue the practice, and this marks the 41st consecutive year CoVantage member-owners have received this unique financial benefit,” the credit union said in a statement.
According to the 138,000-member credit union, the year-end patronage payment includes a bonus on dividends earned and a loan interest rebate. CoVantage depositors received a 6.1% bonus on dividends earned on eligible savings, term share certificates and variable rate accounts. Borrowers received a rebate of 6.1% of their total 2021 interest paid on qualifying vehicle, home equity, in-house mortgage, credit card, and commercial loans.
“For instance, if $5,000 of interest had been paid on a home loan, the borrower would receive $305 in patronage for just that loan,” CoVantage stated.
In addition to patronage, CoVantage said it also provided nearly $120,000 to members through the CoVantage match for those enrolled in Change it Up, a debit card savings program. CoVantage members used their debit card more than ever, and collectively saved over $2.3 million through Change it Up.
‘Key Part of Mission’
“Being able to provide outstanding value is a key part of our mission and is especially gratifying when times are tough,” said CoVantage President Charlie Zanayed. “Along with record patronage, I’m humbled to share that in December 2020 CoVantage was ranked 1st in the nation out of over 5,000 credit unions for providing great rates and low fees (as reported by Callahan, an independent credit union research company). And in June, a Forbes survey named CoVantage the top Wisconsin credit union based on overall member satisfaction. And while this recognition is nice to receive, we’re even more thankful to now waive overdraft fees on checking accounts, which has the potential to benefit over 100,000 members who have their checking with CoVantage. We are humbled to continue to serve our member-owners, who allow us to do well by doing good.”
Other CUs Paying Bonuses, Rebates
Other credit unions that announced 2021 year-end bonuses and rebates include:
- Goldenwest CU, which is paying out $2.2 million
- Western Division Credit Unions, which paid out more than $1 million
- Educators Credit Union (Wisconsin), which paid out $4.9 million
- Tyndall FCU, which returned more than $10 million to members
- Ascend FCU, which paid out $7 million
- Eastman Credit Union, which announced a $15 million extraordinary dividend
- Dow Chemical Employees’ CU, which is returning $13.6 million.
- Tyndall FCU, which is returning $11 million
- Robins Financial Credit Union, which paid out $18 million to its members in the form of a Member Rebate.
- Empower FCU, which is paying members a $4.5-million “giveback” in the form of bonus dividends and rewards rebates.